How to Find the Most Affordable Car Insurance in North Dakota

Fran
Lucy Lazarony
November 3, 2020

In North Dakota, the average car insurance premium cost is $1,230 per year, which is almost 14 percent less than the national average. Being below average is a good thing here but getting that car insurance premium even lower is even better. There are tips and strategies for saving money on car insurance that we will share later on but first let’s take a closer look at car insurance in North Dakota.

State Minimum Liability Requirements

If you ever cause a car accident, liability insurance pays for other people’s injuries and property damage, up to your liability limit. Each state sets minimum liability requirements for the drivers in their state.

In North Dakota, the minimum liability requirements are $25,000 bodily injury liability coverage per person, $50,000 bodily injury liability coverage per accident and $25,000 property damage liability coverage per accident.

The cost of this minimum liability coverage is $358 per year.

Uninsured and Underinsured Motorist Coverages

Uninsured motorist coverage helps pay for damages caused by a driver who doesn’t have insurance. Underinsured motorist coverage protects you in the event of an accident where the other party is at fault and doesn’t carry enough insurance.

In North Dakota, drivers are required to carry uninsured motorist coverage of $25,000 bodily injury per person and $50,000 bodily injury per accident.

North Dakota Is a No-fault State

North Dakota is a no-fault state. With no-fault insurance if you happen to get into an accident, no-fault insurance will reimburse you for any hospital or medical expenses and wages lost from inability to work. No-fault insurance will cover these expenses regardless of who is responsible for the accident.

Drivers in North Dakota are required to carry Personal Injury Protection (PIP) coverage of $30,000. Also known as no-fault insurance, PIP pays the cost of lost wages and medical bills up to the PIP policy limit.

Check out rates in North Dakota

A Comprehensive Policy Costs More

In North Dakota, a more comprehensive policy with collision insurance and comprehensive insurance with $1,000 deductibles costs an average of about $1,054 per year.

Collision auto insurance is coverage that helps to replace or repair your car if it is damaged in an accident with another vehicle or object such as a tree or a fence. Comprehensive auto insurance covers events that aren’t covered by collision coverage. These events include theft, fire, vandalism and damages from weather such as a windstorm, a hailstorm, a tornado and a hurricane.

If you have a loan on your car, your lender will require you to carry both collision coverage and comprehensive coverage.

A deductible is the amount you need to pay before your auto insurance company begins to pay for damages to your car or losses. Both collision coverage and comprehensive coverage require deductibles.

Choosing a high deductible is one way to save money on your car insurance.

Cheapest and Most Expensive Cities for Car Insurance

In North Dakota, the city with the cheapest car insurance is West Fargo. The city with the most expensive car insurance is Hazen.

Founded in 1926, West Fargo is one of North Dakota’s fastest growing cities. Founded in 1913, Hazen is located near Lake Sakakawea.

How to Save Money on Car Insurance

Ready to learn how to save money on car insurance? Let’s get started.

Be a responsible driver. If you are a safe and responsible driver you will save money on your car insurance. In North Dakota, drivers without a moving violation can save 18 percent on their car insurance premiums. But break a few traffic laws and things change quick. In North Dakota, car insurance premiums increase 38 percent after a DUI, 30 percent after an at-fault accident and 18 percent after a speeding ticket. What does that mean in dollars and cents? A first, minor, at-fault accident will increase your insurance premium by around $538 a year. A DUI will increase your yearly insurance premium by around $773. So be a good and responsible driver and stick to the rules of the road. If you’ve been a good driver, be sure to ask your insurance company for a good driver discount. You’ve earned it with the responsible way you’ve handled yourself out on the road.

Be a married motorist. If you are married you will pay less on your car insurance premiums. There is a correlation between being married and exhibiting safe driving behavior. Because of this, married motorists pay less for auto insurance than singles. In North Dakota, married motorists save approximately $74 per year on car insurance.

Have excellent credit. Insurance companies use consumer credit data to assign risk pools and set insurance rates. Drivers with excellent credit get the lowest auto insurance rates. In North Dakota, a driver with excellent credit saves an average of $1,236 per year on car insurance compared with a driver with bad credit. Want to improve your credit? Paying your bills on-time and paying down debt will help to improve your credit score.

Get a multi-car discount. Got more than one car to insure? Insure them with the same auto insurance company and you’ll save money on your premiums.

Pay once or twice a year. Rather than paying monthly auto insurance bills, pay the entire annual amount or six-months amount. Your premium is lower when you pay just once or twice a year.

Bundle policies. Bundle your auto insurance policy with another insurance policy such as a homeowners policy and save money.

Insure less on older cars. The maximum payout for collision coverage and comprehensive coverage is limited by the value of the car. So if your older car has a low market value, it may not make financial sense to carry collision and comprehensive coverages any longer.

Check safety features. Having certain safety features and anti-theft features on your vehicle will lower your auto insurance. Check to see if the features on your car warrant a discount.

Check out memberships. Some members of professional organizations and affiliates get discounts on car insurance. So check your professional memberships with your car insurance company and find if your memberships qualify you for any discounts.

Be a lady driver. Women make fewer accident claims than men and are rewarded with lower auto insurance rates. Men make more accident claims and pay more.

Reach out for discounts. The good driver discount has been mentioned. There also are discounts for veterans and students. So be sure to reach out to your auto insurance company if you qualify.

Check your age. Drivers who are younger than 25 and older than 65 have more serious accidents and pay more for car insurance. Drivers of the ages in-between pay less.

Choose a high deductible. As mentioned earlier, choosing a high deductible is one way to lower auto insurance premiums, especially on newer cars. Just be sure to put the deductible amount in a small emergency fund. This way the money will be there should you need to file an insurance claim.

Stick with coverage. You’ll pay higher auto insurance rates if you don’t maintain continuous coverage of your auto insurance. So stick with your auto insurance coverage and save money.

Keep miles low. Be a low-mileage driver and you will save money on your car insurance. Be a heavy commuter who racks up the miles and you’ll pay more. So drive less and pay less for your car insurance.

Buy a home. Statistics show that people who own homes drive more safely. So let your insurance company know that you own your home and enjoy the savings on your auto insurance premium.

Live in a safe place. If your neighborhood has high accident claims and auto theft, you’ll pay more for your car insurance. If your neighborhood has low accident claims and low crime, you’ll pay less for your car insurance. So choose a safe neighborhood and save money on your car insurance.

Shop around. One of the best ways to save money on car insurance is to shop around. You will want to look at insurance quotes from several different auto insurance companies. SmartFinancial makes it easy to do. Just input the type of insurance you are looking for and a zip code to get started.

Next, answer a few, quick questions and you’ll be comparing auto insurance rates in North Dakota before you know it.

SmartFinancial has access to more than 200 insurance companies so you are bound to find the insurance coverage and price that you want.

So shop smart for car insurance and drive safely on the roadways of North Dakota.

Get a Free Auto Insurance Quote Online Now.

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